The Export-Import Bank’s charter finally expired on June 30th. Ever since it was created during the New Deal, the Ex-Im Bank has supported exports by American corporations, all at taxpayer expense.
The Ex-Im Bank wasn’t the only New Deal program to suffer a major defeat in June. On June 22nd, farmer Marvin Horne triumphed at the Supreme Court against one of the most comically cronyist New Deal relics around: the Raisin Administrative Committee.
The Raisin Administrative Committee claimed the power to take 47 percent of Marvin Horne’s raisins without compensation. Horne argued that this was an uncompensated taking of property and thus violated the Fifth Amendment’s takings clause. Eight Supreme Court justices agreed.
The Raisin Administrative Committee’s entire purpose is to protect entrenched business interests. As Cato’s Trevor Burrus explains, “The RAC is a group of 46 raisin growers and packers (and one “member of the public”)” that regularly meets to “decide how many raisins they must take off the market in order to keep the price of raisins artificially high.”
Mainstream progressives tell us that the New Deal was a victory for the working class and the public interest. But New Deal corporate welfare programs like the Ex-Im Bank and the Raisin Administrative Committee certainly don’t benefit the general public.
Read the rest on the Center for a Stateless Society here.